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“A STUDY ON DEALERS SATISFACTION” IN SHEENLAC PAINTS CHETPET, CHENNAI.
BYAVINASH.S
Reg. No.: 1067434
ofRajalakshmi Institute of Technology
A PROJECT REPORTSubmitted to the
FACULTY OF MANAGEMENT SCIENCESIn partial fulfillment of the requirements
For the Award of the Degree
OF
MASTER OF BUSINESS ADMINISTRATION
ANNA UNIVERSITY
CHENNAI-600025
AUGUST 2011
1
BONAFIDE CERTIFICATE
Certified that this Project report titled “A STUDY ON DEALERS SATISFACTON”
under taken in SHEENLAC PAINTS,CHETPET, CHENNAI, is the bonafide work of
Mr.AVINASH.S,who carried out the research work under my supervision . Certified
further, that to the best of my knowledge the work reported herein does not form part of
any other project report or dissertation on the basis of which a degree or award was
conferred on an earlier occasion on this or any other candidate.
Signature of the student Signature of Internal guide
Name: AVINASH.S
Reg. No: 1067434
Signature of HOD
2
COMPLETION CERTIFICATE
11.08.2011
CHENNAI
TO WHOMSOEVER IT MAY CONCERN
This is to certify that S.AVINASH 1067434 M.B.A IInd year student of
RAJALAKSHMI INSTITUE OF TECHNOLOGY, KUTHAMBAKKAM, CHENNAI
has done project work in the company on “A STUDY OF DEALERS SATISFACTION.”
under the guidance of Mr.S.MUTHUKUMAAR Regional sales manager, SHEENLAC
PAINTS, CHETPET, CHENNAI. Towards the fulfillment of award of “Master of
business administration” during the period July 1st to 31st.
Regards,
3
ACKNOWLEDGEMENT
It gives me immense pleasure to present this project report on DEALER SATISFACTION carried out at SHEENLAC PAINTS. In partial fulfillment of post-graduate course M.B.A.
No work can be carried out without the help and guidance of various persons. I am happy to take this opportunity to express my gratitude to those who have been helpful to me in completing this project report
At the outset I would like to thank Mr. MUTHU KUMAR (Regional Sales Manager) for their valuable advice and guidance during my project completion, and for timely help concerning various aspects of project. I also thanks to all staff members of HR department for help me to complete the summer internship program.
My sincere thanks to Mr. M.B.RANJIV, (Asst sales manager) Who gave me an opportunity to do project in his company.
My sincere thanks to my faculty guide Mr.RAMANATHAN, Department Of Management Studies for his valuable guidance and encouragement throughout the project work.
And my sincere thanks to my HOD Mrs. SHANTHI NACHIAPPAN Department of Management Studies for being support throughout my project.
Lastly I would like to thank my parents, friends and well wishers who encouraged me to do this research work and all those who contributed directly or indirectly in completing this project to whom I am obligated to.
4
DECLARATION
I am AVINASH.S Student of MBA II (Marketing) 2010-2012 studying
at Rajalakshmi Institute Of Technology, Kuthambakkam declare that the project work
entitled “ A STUDY ON DEALERS SATISFACTION. CHENNAI’’ Was carried by
me in the partial fulfillment of MBA program under the RAJALAKSHMI INSTITUTE
OF TECHNOLOGY.
This project was undertaken as a part of academic curriculum
according to the University rules and norms and it have not commercial interest and
motive. It is my original work. It is not submitted to any other organization for any other
purpose.
PLACE : KUTHAMBAKKAM
DATE : SIGNATURE OF THE STUDENT
RAJALAKSHMI INSTITUTE OF TECHNOLOGY
KUTHAMBAKKAM
5
TABLE OF CONTENTS
CHAPTER TITLES PAGE NO
LIST OF TABLES
LIST OF CHARTS
I1.1 INTRODUCTION
1.2 PROFILE OF THE ORGANIZATION11-24
II2.1 DESIGN OF THE STUDY2.1(a) OBJECTIVES OF THE STUDY 2.1 (b)SCOPE & LIMITATIONS OF THE STUDY
25-26
III 3.1. REVIEW OF LITERATURE 27
IV
4.1 RESEARCH METHODOLOGY4.2. RESEARCH DESIGN
4.3. DATA COLLECTION METHOD
4.4 DATA ANALYSIS AND INTERPRETATION4.5 SIMPLE PERCENTAGE ANALYSIS4.6 WEIGHTED AVERAGE
4.7.CHI-SQUARE CALCULATION
30-55
V
5.1 SUMMARY OF FINDINGS5.2 SUGGESTION AND RECOMMENDATIONS5.3 CONCLUSION
56-58
VI
6.1 BIBLIOGRAPHY6.2 QUESTIONNAIRE 59-63
6
LIST OF TABLES
T.NO TABLE NAME PAGE.NO
1 EXPERIENCE IN DEALERSHIOP 33
2FACTORS ENABLING DEALERS
34
3 CREDIT PERIOD GIVENN BY SHEENLAC 35
4 PROMOTIONAL ACTIVITIES GIEN BY SHEENLAC 36
5 EXPECTATION ON QUANTITY 37
6 DEALING PRODUCT WITH OTHER COMPANIES 38
7 ACCESSIBILITY OF PRODUCS 39
8 EMPLOYERS DELAING WITH DEALERS 40
9 FACTORS COMPARED WITH COMPETITORS 41
10 RECOMMENDATION BY CUSTOMERS 42
11 SEASON PRODUCTS 43
12 AWARENESS ON PRIMER PRODUCTS 44
13 PRICING OF PRIMER PRODUCTS 45
14 DEALERS EXPECTATION ON QUALITY & PRICE 46
7
15 NEED OF QUALITY AND PRICE 47
16 OTHER FACTORS COMPARED WITH COMPEITIORS 48
17 SAMPLING OF A PRODUCT 49
18 SERVICE GIVEN AFTER THE LANUCH 50
19 PRODUCT RATING 51
20 COMPLAINTS AND SUGGESTION52
8
LIST OF CHARTS
T.NO TABLE NAME PAGE.NO
1 EXPERIENCE IN DEALERSHIOP 33
2FACTORS ENABLING DEALERS
34
3 CREDIT PERIOD GIVENN BY SHEENLAC 35
4 PROMOTIONAL ACTIVITIES GIEN BY SHEENLAC 36
5 EXPECTATION ON QUANTITY 37
6 DEALING PRODUCT WITH OTHER COMPANIES 38
7 ACCESSIBILITY OF PRODUCS 39
8 EMPLOYERS DELAING WITH DEALERS 40
9 FACTORS COMPARED WITH COMPETITORS 41
10 RECOMMENDATION BY CUSTOMERS 42
11 SEASON PRODUCTS 43
12 AWARENESS ON PRIMER PRODUCTS 44
13 PRICING OF PRIMER PRODUCTS 45
9
14 DEALERS EXPECTATION ON QUALITY & PRICE 46
15 NEED OF QUALITY AND PRICE 47
16 OTHER FACTORS COMPARED WITH COMPEITIORS 48
17 SAMPLING OF A PRODUCT 49
18 SERVICE GIVEN AFTER THE LANUCH 50
19 PRODUCT RATING 51
20 COMPLAINTS AND SUGGESTION52
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CHAPTER 1
1.1INTRODUCTION
General Introduction
Marketing is essentially about marshalling the resources of an organization so that they
meet the changing needs of customers on whom the organization depends. As a verb,
marketing is all about how an organization addresses its markets. Marketing is “The
management process which identifies anticipates and supplies customer requirements
efficiently and profitably”.“Marketing is a total system of interesting business activities
defined to Plan, piece, promote and distribution want satisfying products & services to
present and potential consumers”
- William. J. Stantion
“Marketing is the performance of business activities that direct the
follow of goods and services from the producer to the consumer or user”
- American Marketing Association
A social and managerial process, by which individuals and groups
obtain what they need and want, through creating and exchanging product
and value with others.
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INTRODUCTION ABOUT DEALERS
Dealer is a person or firm engaged in commercial purchase and sale. Dealer may signify
firms that buy or resell products at retail or wholesale basis. A producer cannot sell all his
products directly to consumer, he has to depend upon intermediaries to push, off, his
products. A dealer is an intermediary who helps to market a product. A dealer is one who
purchase and sells products. A dealer may be a wholesaler or a retailer or a distributor or
any agents.
The volume of sales depends on the efficiency of a dealer who assesses the psychology of
consumers and takes appropriate steps to sell a product. It is the dealer who suggests to
the manufacturers the suitable media of advertisement and other promotional tools.
Dealers are searching for new marketing strategies to attract and hold customers. Dealers
include all activities involved in selling goods and services to those buying for resale or
business use. Dealers buy mostly producers and sell mostly to retailers or industrial
consumers.
Dealers satisfaction
Dealer wants high marginal gain from manufacturers. The main objective of dealership is
earning profits. Dealership business is different from other business. The peculiar feature
of a dealer is dealing with one or more similar products. Dealers earn commission for
goods sold from the manufacturers. The commission depends upon the value of sales
both cash and credit. Now a days the demand for paint increases every year. The
manufacturers are not able to cover all the consumers directly. With the help of dealers
only they can reach the consumers. Dealer excepts income from business because there is
some guarantee of getting more commission from this business. Dealers demand more
commission from the manufactures, they cover the entire market within their locality.
They also sell paint in credit to regular customer.
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INTRODUCTION ON PAINTS
The Paints are extensively being used in our daily life as well as in industries for
decorative and protective coatings plays an important role. Paint industries in India have
widely been developed with the help of petrochemical ,industry and development of paint
technology it is now possible to manufacture large quantities of improved quality in less
time and investment.
‘Paint’ can be briefly described as a homogenous and complex mixture consisting mainly
pigments, binders (resins) and solvents. Added to these, are a number of additives, to
impart or enhance certain specific properties. The mixture (paint), when applied as a thin
coating of say 25 to 50 microns (one to two thousand) dries to a hard film due to the
evaporation of the solvents, polymerization chemical reaction or both. This dry paint film
has got the property to obliterate and protect the surface on which it is applied.
Evaporation of solvents and chemical reaction are very much dependent on surrounding
conditions such as temperature, humidity, ventilation etc., and have an appreciable
influence on the drying rate of a paint film. The drying will be relatively slower at lower
temperature and higher humidity. According to Indian Standard Specifications Test
Methods the drying time is determined at 27c and relative humidity of 65%. The term
‘Paint’ and ‘Surface coating’ are often used interchangeably. Surface coating is a more
general description of any material that may be applied as a thin continuous layer to the
surface. Paint was traditionally used to distinguish pigmented materials from clear films,
which are more properly called ‘Lacquers’ or ‘Varnishes’.
Composition of Paint:
1. Pigments:
Pigments render colors and opacity to the paint. Pigments are solid materials in powder
form, incorporated in paints to give opacity, colors or chemical reinforcement to the film.
In primers the pigments are mainly incorporated to give rust inhibiting properties.
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2. Media or Binder or Vehicle:
Binders hold the paint together and also bind it to the surface being painted, thus
promoting durability. Paint as explainedearlier is essentially an intimate blend of
pigments, medium and solvent. Pigments have one property in common, i.e., they are all
powders and as such are of no use in either protection or decoration, until they are
blended with materials, which are capable of forming a continuous film, and this former
is known as the medium or binder or vehicle.
3. Solvents or Thinners:
Solvents give paint its flowing property, enabling brushing/rolling on a surface. In a
liquid paint, solvents or thinners serve mainly to reduce the viscosity of the paint in order
to make it suitable for application as required and enable the paint to wet and spread on
the surface in a continuous manner. Depending on the solvent used, paints can be
categorized as water-based or oil-based.
4. Additives:
Additives endow the paint with special properties such as resistance to fungus, rust, etc.
Why Paints are used?
Normally paints are used in our homes on walls, metal and wooden surfaces to protect
from corrosion and enhance esthetic value. Eventually these will necessarily need
painting because with time their beauty and strength decreases. Wall surfaces chip and
crack, metal rust and corrode, while wooden furniture and doors get warped and
scratched. Different paints have specific properties that prevent or at least delay this.
They form a protective layer around the substrate, keeping it relatively safe and protected
from environmental abuses. Naturally, since walls are different from metal, which in turn
have properties dissimilar to wood, each surface requires a different type of paint. Today,
different paint has been developed, specific to each category.
14
Types of Paint
Paints are generally classified into
Decorative Paints: Mainly household paints. These are generally of air-drying
quality.
Industrial Paints: These can be either of air-drying or stoving quality. These are
used on while goods, automobiles, marine transport, coils etc.,
High Performance Coatings: These paints generally air dry, at room temperature
or with the help of a curing agent. These paints are used for painting structures
under marine conditions and in chemical factories like fertilizer, petrochemical in
highly corrosive atmospheres.
Varnishes or Lacquers: These can be generally considered as unpigmented
paints, i.e. paints without any obliterating properties.
Powder Coatings: These are coating materials in powder form prepared from
special solid resins, pigments and hardening agents. They are applied by
electrostatic spraying and cured by stoving
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1.2PROFILE OF THE ORGANISATION
The motto of the company
The Company’s motto is “Quality with high valued ethics.”
The promoter Mr. John Peter, is the founder & Chairman of the Sheenlac Group of
Companies. He started the business in the year 1962. First venture was a proprietor
concern under the name of “ United Thinner Agencies “ as a trading company.
On 26th April 1967 this concern was converted into a registered firm. The firm was doing
the production of thinner and trading activities at No.3, Arunachalam Street,
Purasawalkam,Chennai
Mr. John Peter then acquired a plot at 109-B. Developed Plots, Ambattur Industrial
Estate, Chennai 600 098 from the Department of Industries & Commerce in 1970 for
construction a factories and for erection of machinery for production of Paints, Thinner &
Allied Products.On 6th November 1971 a new firm was started in the name of “ Sphinax
Chemical Industries” with its registered office at No.20, Arunachalam Street,
Purasawalkam, Chennai – 600 007. The products, which were manufactured and
marketed by the firm, had a very good report in the market and also good rapport with the
dealers.
To cater the increasing market demand, on 29th July 1977 the firm – “Sphinax Chemical
Industries” was converted into a private limited company Viz. “Sphinax Chemical
Industries (P) Ltd”, to enable the company to get the financial assistance and a status in
the market. As part of expanding the market share, started branche offices all over South
India namely, Thrissur, Chennai, Vijayawada, Bangalore & Coimbatore in the year
1981.
In 1986 the group had started a new paint manufacturing factory under the name of
Polycoat Industries at 48-C, Developed Plots, Ambattur Industrial Estate, Chennai – 600
16
098 exclusively for production of automotive paints & Wood finishes with Mrs.Mary
John W/o,Mr.John Peter as the Proprietrix.
Due to some unavoidable reasons this unit as well as Sphinax Chemical Industries (P)
Ltd., were closed in 1989 – 90 and later on started a new partnership firm in the name of
“Supercoat Industries” in the year 1991 – 92.
As part of expansion the company purchased the adjoining plot 108-C, Developed plots,
Ambattur Industrial Estate, Chennai – 600 098 and expanded the capacities by
constructing a multi storyed building for storing purpose, a building to accommodate the
R&D. In 1997 – 98 the firm Supercoat Industries was again converted into a Proprietrix
concern, with Mrs. Mary John W/o Mr. John Peter as the proprietrix. The company is
having a Research and Development wing functioning under the able guidance of well
qualified chemists.
To cater the increased market demand the “Supercoat Industries” constructed a 3 storied
factory building with well-equipped machinery in 1999 with capacity to produce 2 Lakhs
litres of Paints and Wood finishes in a month. In the same year Supercoat Industries also
programmed for the ISO and obtained thecertificate of ISO 9001 – from BVQI. In 1993
the group had started another proprietory concern with Mr.Sudhir John as the proprietor
with the name of “Surface Coating Industries” Located at 139-142, Sidco Industrial
Estate, Thirumazhasai, Chennai – 602 107, exclusively for N.C. Thinner & Wood Polish
Production. The company has a well-equipped plant, with a capacity to produce 7 to 10
lakhs litres of Thinner and 2 Lakhs litres of Wood Polish per month.
The Proprietor of the concern is Mr. Sudhir John S/o. Mr. John Peter, a well qualified
person with chemistry as main also has a experience in the paint field for more than 12
years and thus made a turnover of Rs.32 crores in 1999-2000. To meet the increased
market demand the Surface Coating Industries acquired a new land at Poonamallee bye
pass road measuring 12 acres.
In the above place 3 factory building were constructed each measuring 500 sq.ft. The
17
First Shed for Thinner Production, which has a capacity to produce 50,000 litres per day.
The second shed for production of wood polish, which has a capacity to produce 20,000
litres per day. The Third shed is used for storage of packing materials. For the Raw
materials storage there are about 6 over head tanks.
HISTORY OF THE ORGANISATION
1962- Mr.John Peter Founder and Chairman started "United Thinner Agencies " for
Manufacturing Thinner and Wood Polish products. Products were marketed under the
Brand Name "SHEENLAC". Mr. Krishnamoorthy a business friend was Instrumental in
coming the brand name "SHEEN" means Future of Shine and "LAC" means Lacquer
polish.
Branch office Opened at Ambattur in Chennai.
1971-"Sphinax Chemical Industries" was started on 6th November.
1973-Year marked with the launch of Wood Polish in HDPE Bottles, First of its kind in
Indian market.Small Packing was introduce to fulfil the needs of the users.
1977-Renewal of Sphinax Chemical Industries as Sphinax Chemical Industries (P) Ltd. to
cater the increasing market demand.
1983-Once again, First of its kind in Indian market the launch of Thinners in Pet Bottles.
Construction of Church in Thrissur (Kerala) and handing over to "Malabar Independent
Syrian Church" as a part of Social Commitment.
Branch office opened in Kochi.
Church in Chennai at Perambur.
18
1984-Branch office opened in Vijayawada.
1986-Branch office in Bangalore.
1987-Branch office in Coimbatore.
1989-"Best Enterpreneur Award" Mr.John Peter founder of Sheenlac group received
from Honorable President of India Shri.R.Venkatraman.
1992-Outstanding Award was received by Mrs. Mary John Proprietrix of Supercoat
Industries received from Chief Minister of Tamil Nadu - Shri.M.Karunanidhi.
1993-"Surface Coating Industries" a new Manufacturing unit producing Thinner and
Wood Polish in large scale was started to cater the needs of Northern Markets.
1997-Growing needs from the Industrial sector was the initiation of Research and
Development unit in Ambattur.
1998-Increase in Manufacturing of Paint to 10 KL per batch as a part of Expansion plan.
Branch office at Yeshwantpur in Bangalore.
1999 - Received ISO 9001 Certification from Bureau Veritas.
Branch office in Hyderabad.
2000-State of the art "Surface Coating Industries" in 12 acres of plot to Manufacture
1,00,000 Ltr per day of Thinners and Wood Polish to face the high demands.
"Women Enterpreneur Award" Mrs. Mary John Proprietrix of Supercoat Industries
received from Minister for Industries Tamil Nadu - Shri. Periasamy.
19
"Rashtriya Samman Award" Mr. Sudhir John Proprietor of Surface Coating Industries
received from Government of India's Chairperson CBDT - Smt.S.K.Nigam.
Rashtriya Samman Award from 2000 to 2001.
2002-"Rashtriya Samman Award" Mr. Sudhir John Proprietor of Surface Coating
Industries received second time from Central Minister of Finance (State) - Mr. Chengi
Ramachandran.
"Vocational Excellence Award" Mr.John Peter received from Rotary Club for his
commitment to the society. Branch office in Hyderabad.
2003-Branch office was opened in Cuttack, Ahmedabad and Pondichery.
2004-Noble cause led to construction of one more Church in Perambur (Chennai).
2006-Branch office in Kolkatta, Goa, Kochi and Calicut.
2007-Branch office in Coimbatore and Ludiana.
Amalgamation of all the manufacturing companies as "SHEENLAC PAINTS CORP".
2008-Branch office in Raipur.
2010-New Factory gearing up in outskirts of Chennai at Vadakanallur.
20
SHEENLAC PRODUCT PROFILES
Sheenlac products are mainly for wood finishes and it is mainly concentrating on
Auto finishes
Architectural products
Wood finishes
Auto finishes:
Auto primers
Zinc chrome metal primer
Oil primer brown
Zn tech primer
1) Auto/General purpose primers
Red oxide zinc chrome primer
Zinc phosphate primer grey
Poxy based Red oxide Zinc Chrome
2) Auto under coat surface
Speed kote Primer Surfaces
3) Auto body filters/putty
NC Putty- Grey
NC Putty- White
KPF Putty
KPF Putty White
4) Auto top – coat solid colors
Synthetic Fast Drying Enamel
21
Acrylic Enamel
NC Based Lacquer Aluminum
5) Auto top coat metallic finishes
2K PU Solid colors
Synthetic Fast Drying Aluminum
6) Auto top coat clears
Fast Dry Hi-Gloss Enamel Clear
NC Auto Lacquer Clear
Sheenacryl clear
2K Auto PU clear
Hi-build 2K PU Clear
Wood finishes:
1) Melamine base
Melamine Base
A.C. Melamine Opaque – Matte
A.C. Melamine Glossy / Matte
2) Pearl metallic finishes
2K PU Opaque colors -Glossy & Matte
2K PU Mother Pearl
2K PU Coarse silver, Glittering Gold
3) Polyurethane wood finishes
PU Insulator
Darkening / Decaying of Wood
1K PU Glossy / Matte (SP)
22
4) Water based wood finishes
WB Impregnating solution
WB PUD sealer – Interior
WB Top coat Glossy / Matte- Interior
5) Wood fillers & polish
OB Wood filler
Stopper Filler – Natural
French polish - Color / Colorless
6) Fillers
NC Wood filler
7) Sealers
NC sanding sealer
NC Hi-solid sealer
8) Clears
NC Cabinet Clear – Glossy
Wood Clear Glossy
ARCHITECTURAL PRODUCTS
Wall paints
Distemper
Emulsion-paints
23
Wall paints
1) Interior primers
2) Exterior primers
3) Interior emulsion
4) Premium interior emulsion
5) Luxury interior emulsion
6) Exterior emulsion
7) Premium exterior emulsion
Distemper
1) Interior primers
2) Interior emulsion
3) Acrylic distemper
4) Premium interior emulsion
5) Luxury interior emulsion
Emulsion-paints
1) Interior emulsion
2) Exterior emulsion
3) Premium interior emulsion
4) Luxury interior emulsion
5) Luxury exterior emulsion
24
CHAPTER 2
2.1 DESIGN OF THE STUDY
Problem Statement:
The study is undertaken to know the dealer expectations while selling a product and to
understand how the company is different in marketing its product. It is vital for any
organization in today’s competitive environment to understand the perception of their
dealers by which the company can make the necessary changes according to the dealer’s
expectation and customers requirements. Hence it is named as “A study on dealer’s
satisfaction’’.
2.1(a)OBJECTIVES OF THE STUDY:
Primary objective :
To study the level of dealer’s satisfaction in Sheenlac paints.
Secondary objectives:
· To know the position of sheenlac against other leading paint companies.
· To know the dealer perception towards “sheenlac” in Chennai..
· To list out the factors that influences the dealers while taking dealership.
· To know the dealers expectation while taking a dealership of a particular brand
· To evaluate behavior of dealers while pushing a particular product.
25
2.1(b) SCOPE & LIMITATIONS OF THE STUDY
Scope of the study
Other than the objectives of the study some of the related factors were also covered in
which some of them are.
Fast moving brand of sheenlac products.
Dealers opinion on price fluctuation for thinner products.
To know about the standard of the primer products(strategy position).
Whether emulsion and distemper products will survive after their launch.
Promotional scheme of other products.
These factors are given more importance while analyzing the market. Since the future
phase was to be adopted after finding out the important factors relating to this market, a
sincere attempt is made to elicit the above information’s.
Limitations of the study
The study was carried out with in Chennai region and nearby areas.
Sample size was reduced to around 70 due to lack of respondents from dealers
Cost & Time factor was a major constraint.
In some cases, communication was not favor and was not convenient for dealers
i.e., we have to translate into regional language. (lack of education from dealers
side).
This research was conducted among dealers only for obtaining consumer
response, further survey among users of cement is suggested.
26
CHAPTER 3
3.1REVIEW OF LITERATURE
1. Philip kotler on marketing successful “go-to-market” strategies require integrating
dealers wholesalers and logistical organization. Although the overwhelming bulk (97
percent) of goods and services is sold through dealers and wholesalers. The dealer’s
product assortment must match the target market’s expectations. The dealer has to decide
on product –assortment breath and depth General Electric Before the late 1990s,GE
operated a traditional system of trying to load its dealers with GE applications. Then
dealers access GE’s order- processing system 24 hours a day, they get GE’s best price,
GE financing , and no interest charge for first 90 days. In exchange, dealers must commit
to selling 9 major GE product categories, generating 65 percent of their sales in GE
products. Now GE provides internet content for each of its 1,500 online dealers.
Dealers-distributors have faced mounting pressures in recent years from new source of
competition. So when that the company provide their service at the satisfaction level of
dealers. They are processing successful in the market.
2. Geoff cousins managing director of Jaguar cars says “dealers satisfaction is
generate the sales growth and profitability” In schwacke’s 2007 brand monitoring survey,
the jaguar brand in Germany achieved first place for overall dealer satisfaction and
improved from last year’s result by nine places. More than 1,000 dealers were questioned
regarding their satisfaction with their brand and Jaguar came first not only in the overall
ranking but also in the important category which showed an improvement of eight places.
Managing Director of Jaguar cars, commented: “I am delighted that both dealerships
have been recognized for the great work that they do. Its an out standing achievement to
be chosen over the tough competition from our main competitors. The level of
27
satisfaction is 18 measured in six key areas: service initiation, service advisor, in
dealership experience, service delivery, service quality and user-friendly service.
3. HONDA motorcycle & scooters(HMIS) and Honda siel cars (HSCI) rank highest in
dealer satisfaction with their principals in the two-four wheeler industry segments,
respectively, according to the findings of the ‘2005 dealer satisfaction study’. The study
represents the responses of more than 1,200 two-and four-wheeler dealers to the key
areas of product, management relationship, profit margin, order and delivery, after-sales
and parts support, warranty. Ranking for the study are done at the industry segments-
level to provide comparisons among similar group of dealers.
“The industry average score of reflects a relatively low level of dealer commitment and
indicates that dealers are vulnerable to defection. Its an significant increase compared to
the 2002 study” The key building partners is to focus on the most critical areas that
impact dealer satisfaction and commitment to the manufacturer.
Mr. Lochan the managing director said “It is not surprising that dealers expect their
principals to be concerned and supportive of their profitability. However, the study
clearly reveals that dealers are equally concerned about other tactical issues such as
branding, advertising effectiveness and support in managing warranty claims”
The statement said the dealer satisfaction study conducted from October through
December 2005 covering 846 two-wheeler dealers across nine manufacturers and 392
four wheeler dealers across eleven manufactures.
4. HENRY FORD, 1926 ‘business must be run at a profit, else it will die. But when
anyone attempts to run a business solely for profits and thinks not at all of the service to
the community, then also the business must die, for it no longer has a reason for
existence.
Dealers are an important part of our product- led strategy. Our new product introductions
will be of mutual benefit to ford and its dealers will help strengthen our relationship.
Ford measure dealer satisfaction with all our brands and regions through various
methods.
Day-to day interactions with our dealer councils and input from third- party surveys.
Dealer’s attitude survey results for 2006 reflect an improving trend for over all dealer
28
Satisfaction Ford annually recognizes outstanding dealer contributions to the community
through its “salute to dealers” program. The program was established in 2001 to
demonstrate our commitment to dealers who provide outstanding products and service
and improve the lives of those in need. It represents more then 6,000 dealership in ford
motor company.
5. Dealer satisfaction with IBM solution:
Overview: one of the world’s largest agriculture and construction equipment
Manufactures, tractors, combines and other types of farm equipment construction
machinery. 26-oct-2006 conduct dealer satisfaction study in new Holland. Study conduct
through 1800 new dealer. As a result ‘77% increase in dealers satisfaction for whole
goods ordering – processing among new Holland agricultural dealers as well as
constructions dealers.
Thousands of dollars saved by reassigning call center employer to higher value work.
Accelerating inventory improves bottom lines receiving order faster improves cash flow
for new Holland. Tim Lyon, operating director, New Holland “we have provided a
modern web based order system that makes life easier for our dealers”. We focus mainly
on dealer satisfaction because they are most valuable assets of our concern.
29
CHAPTER 4
4.1RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem. It
may be understood as a science of studying how research is done scientifically.
4.2 RESEARCH DESIGN:
A research design is purely & simple basic frame work or plan for a study the guides the
collection of data and analysis of the data.
Type of research: Descriptive research
Descriptive Research:
Descriptive studies, as their name implies, are designed to describe something, for
example, the characteristics of users of a given product; the degree to which product use
varies with income, age or other characteristics: or the number who saw a specific
television commercial. A majority of marketing research studies are of this type.
2. DATA SOURCES :
Primary data:
A Structured questionnaire was administered to obtain data for analyzing the dealer’s
perception towards various brands of paint with reference to Sheenlac paints.
Secondary data:
Secondary data was collected through Textbooks, company profile, magazines, and from
different website.
30
3. SAMPLE DESIGN
In this research, non-probability sampling methods have been used, in which the
Chances to select the respondent from the population into the sample are unknown.
Sampling Plan:
Data: Primary data Researcher design: Descriptive Research instrument: Structured Questionnaire
Sampling method:
Convenience sampling method of non – probability sampling is adopted in this research.
Convenience sample are samples drawn at the convenience of the interviewer.
Accordingly, the most convenient areas to a researcher in terms of time and effort turns
out to be “high traffic” areas such as a shopping mails or busy pedestrian intersections.
The selection of the place and consequently, prospective respondent is subject rather than
objective.
· Sample Unit: Paint Dealers in chennai city
· Sample size: 70 dealers
Method of contact : personal
4.3 DATA COLLECTION METHOD
There are four types of questionnaires design in which, we have adopted the structured
undisguised questionnaire, questions are presented in exactly the same words in the order
to all respondents.
In the typical structured undisguised questionnaires the questions as well as the reasons
are standardized. This is accomplished by employing fixed alternative, such a
questionnaire facilities easy administration, tabulated & analysis. Open & closed ended
31
questionnaire methods were used in the project, care must be taken to ensures that us for
possible, it should not contain any room of misinterpretations.
Methodology: Data was collected by giving questionnaire to respondents (personal
interview).
Plan of analysis: All the data which was collected are based on variables which would
explain the solution to the problem.
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4.4 DATA ANALYSIS
Table 1
Experience no. of respondents %1-3 years 2 2.84-7 years 55 78.578-10 years 10 14.28>10 years 3 4.2Total 70 100
Chart 1
%
13%
279%
314%
44%
INFERENCE: From the above chart it is inferred that almost dealers having experience of 4-7 years of 79% and 8-10 years of 14% and above 10 years of 4 % and less 4 years of 3%.
33
Table 2
Factors no.of respondents %Promotional scheme 36 51.42quantity 15 21.42company policy 2 2.85margin 17 24.28Total 70 100
Chart 2
%
152%
221%
33%
424%
INFERENCE: From the above chart it is inferred that factor enable dealers satisfaction of promotional schem of 52% and quality of 21% , company policy of 3% and remaining margin of 24%.
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Table 3
Credit no.of respondents %very good 11 15.71good 14 20satisfactory 41 58.57poor 4 5.71Total 70 100
Chart 3
INFERENCE: From the above chart it is inferred that credit period given the sheenlac is satisfactory about 58% dealers feels good is about 20% and completely satisfied is about 16% and poor is of 6%
35
Table 4
Promotional activites no.of respondents %very good 17 24.28good 23 32.85satisfactory 26 37.14poor 4 5.71Total 70 100
Chart 4
INFERENCE: From the above chart it is inferred that promotional activities given by sheenlac satisfactory with 37% and some feels that it is good about 24% and 6%and remaining feel it is very poor about 33%.
36
Table 5
Quantity no.of respondents %yes 50 71.42no 20 28.57Total 70 100
Chart 5
INFERENCE: From the above chart it is inferred that major of the sheenalc products supplied in time with 71% and remaining of 29%.
37
Table 6
Dealing no.of respondents %Yes 70 100No 0 0Total 70 100
Chart 6
INFERENCE: From the above chart it is inferred that dealers dealing with 100%
38
Table 7
Access no.of respondents %yes 55 78.57no 15 21.42Total 70 100
Chart 7
INFERENCE:
From the above chart it is inferred that dealers having 79% of proper accessibility of sheenlac products.
39
Table 8
Dealing no.of respondents %highly satisfied 9 12.85satisfied 19 27.14average 40 57.14dissatisfied 2 2.85Total 70 100
Chart 8
INFERENCE:
40
From the above chart it is inferred that employers dealing with sheenlac with and average of 57% and employers are satisfied with 27% , and highly satisfied of 13%.
Table 9
Expect no.of respondents %promotional scheme 10 14.28sales follow up 24 34.28service 10 14.28credit facility 26 37.14Total 70 100
Chart 9
INFERENCE:
41
From the above chart it is inferred that factors that enable sheenalac compared with competitors is with 37% credit facility, 34% of sales followup,14% of promotional scheme and service.
Table 10
Recommendedno.of respondents %
yes 45 64.28no 25 35.71total 70 100
Chart 10
164%
236%
INFERENCE:
42
From the above chart it is inferred that recommended customers say yes about 64% and remaining 36%
Table 11
Season no.of respondents %jan-march 10 14.28april-june 25 35.71july-sept 25 35.71oct-dec 10 14.28Total 70 100
Chart 11
INFERENCE:
43
From the above chart it is inferred that the product will be selling more from the month of april – sept with an aggregate of 36% and remaining of 14%.
Table 12
Aware no.of respondents %highly expected 7 10expected 35 50moderately expected 25 35.71not expected 3 4.28Total 70 100
Chart 12
INFERENCE:
44
From the above chart it is inferred that awareness primers productswas expected by 50%.
Table 13
Chart 13
INFERENCE:
From the above chart it is inferred that the pricing of the primer products was met by the buyer and they are satisfied with 49%.
45
Pricing no.of respondents %highly satisfied 5 7.14satisfied 34 48.57moderately satisfied 26 37.14dissatisfied 5 7.14Total 70 100
Table 14
Dealers no.of respondentsYes 58 82.84No 12 17.14Total 70 100
Chart 14
\INFERENCE:
46
From the above chart it is inferred that quality in price or of expected with 83%
Table 15
Need no. of respondentsinc Q dec P 14 20dec Q inc P 25 35.71dec Q dec P 20 48.57inc Q inc P 11 15.71Total 70 100
Chart15
INFERENCE
47
From the above chart it is inferred that dealers expecting decrease in quality and decrease in price with 49% and some of the dealers ensuring about decrease in quality increase in price with 36%
Table 16
Compareno.of respondents
Price 20 48.57Quality 5 7.14Offers 20 48.57Service 11 15.71Total 70 100
Chart 16
INFERENCE:
48
From the above chart it is inferred that factors that enhancing sheenlac products are price and offers with an aggregate of 49%.
Table 17
Sampling no. of respondentsyes 45 64.28no 25 35.71Total 70 100
Chart 17
49
INFERENCE:
From the above chart it is inferred that before launching of the product sampling is necessary with 64 % and remaining 36%.
Table 18
Sales no. of respondentshighly satisfied 8 7.42satisfied 38 54.28moderately satisfied 22 31.42dissatisfied 2 2.85Total 70 100
Chart 18
50
\INFERENCE:
From the above chart it is inferred that sales after the service was 54% satisfied with dealers.
Table 19
Rate no. of respondentssheenlac-asian-agscar-nerolac 5 7.14asian-sheenlac-agscar-nerolac 10 14.28asian-agscar-sheenlac-nerolac 28 40asian-agscar-nerolac-sheenlac 27 38.57Total 70 100
Chart 19
INFERENCE:
51
From the above chart it is inferred that asian paints leads the brand with 40% and followd by agscar and sheenlac.
Table 20
Suggestion no.of respondentsyes 52 74.28no 18 25.71Total 70 100
Chart 20
INFERENCE:
From the above chart it is inferred that suggestion given by the dealers to the company is of 74%.
52
STATISTICAL TOOLS:
Chi square analysis
Weighted average
There are briefly explained, in following:
4.5 CHI SQUARE TEST
The quality 2 described the magnitude of discrepancy between theory observation (ie)
with the help of 2 test use are in a position to know whether a given discrepancy
between theory of observation may be attitude to chance (or) whether it results in
adequacy of the theory to fix observed fact.
The quantity 2 is defined as
Chi square Table:
CUSTOMER AWARENESS TOTAL
Highly
expected
Expected Moderately
expected
Not
expected
yes 2 25 16 2 45
no 5 10 9 1 25
TOTAL 7 35 25 3 70
53
Where,O – Observed frequencyE – Expected frequency
CHI-SQUARE CALCULATION TABLE:
O E O-E (O-E)2 (O-E)2/E
2 4.5 -2.5 6.25 1.38
25 22.5 2.5 6.25 0.277
16 16.7 -0.7 0.49 0.029
2 1.92 0.08 0.0064 0.0033
5 2.5 2.5 6.25 2.5
10 12.5 -2.5 6.25 0.5
9 8.92 0.08 0.0064 0.00071
1 1.07 -0.07 0.0049 0.00457
TOTAL 4.6945
RESULT:
Degree of freedom Table chi-square value at
5% level
Calculated chi-square value
3 7.82 4.6945
INFERENCE
54
Since the calculated value is lesser than the table value. Hence the null
hypothesis, Ho is accepted. Customer of employee is independent with the positive
approach of the awareness of primer products.
5.3 WEIGHTED AVERAGE
Weighted average was calculated for credit period, promotional activities, dealing, sales
service.
If something is distribution is more important than order, then their point must be born in
mind, in order that average completed is representatives of the distribution. In such case
proper weight age is to be given to various items the weight attached to each item being
professional to the importance of the item to be I the distribution.
Formula
Average weight = Total weight / Total No. of respondents x 100
S.NO H.S*4(A)
S*3(B)
A*2(C)
D.S*1(D)
X= A+B+C+D
Y=X/100
1 44 42 82 4 172 1.722 68 69 52 4 193 1.933 36 57 80 2 175 1.754 32 114 44 2 192 1.92
RESULT
From the above table, it indicates the maximum respondents (i.e.) 1.93 means agree the problems are immediately resolve by the organization, and the satisfaction level of decision is 1.72, which recommends there is some improvement is needed by the respondents in an organization.
55
CHAPTER 5
5.1 SUMMARY OF FINDINGS
This study has been conducted in order to study the behavior of dealers towards selling
paints with reference to SHEENLAC PAINTS (Chennai) Limited. The study also found
various shortcomings of the system through dealer survey with the help of structured
questionnaire and interview with the paint dealers and company employees. The
following is the summary of some important findings of this study:
It is inferred that almost dealers having experience of 4-7 years of 79%
It is inferred that factor enable dealers satisfaction of promotional schem of 52%
It is inferred that credit period given the sheenlac is satisfactory about 58%
It is inferred that promotional activities given by sheenlac satisfactory with 37%
major of the sheenalc products supplied in time with 71%
It is inferred that dealers dealing with 100%
Dealers having 79% of proper accessibility of sheenlac products.
Employers dealing with sheenlac with and average of 57%
It is inferred that factors that enable sheenalac compared with competitors is with
37%
It is inferred that recommended customers say yes about 64%
Product will be selling more from the month of april – sept with an aggregate of
36%
Awareness of primers products was expected by 50%.
The pricing of the primer products was met by the buyer and they are satisfied
with 49%.
Dealers expecting decrease in quality and decrease in price with 49%
56
Factors that enhancing sheenlac products are price and offers with an aggregate of
49%.
Before launching of the product sampling is necessary with 64 %
Sales after the service was 54% satisfied with dealers.
Asian paints leads the brand with 40% and followd by agscar and sheenlac.
Suggestion given by the dealers to the company is of 74%.
Asian paint is the competitor for the sheenlac.
From the data collected it is clear that no one changed their dealership so far.
According to the dealers price of the Sheenlac products is comparatively high.
More offers should be made to the dealers.
The company has been practicing push strategies because it has low brand
awareness.
From the survey it was clear that good quality and rate of commission were
important factors, which were considered for pushing a particular brand by
dealers.
Sheenlac is meant for thinners and polish products, i.e wood finishes they are
standing amongst the other products. Quality is very high compared to other
products.
5.2 SUGGESTIONS AND RECOMMENDATIONS
Almost 75 % of the dealers were given suggestion towards sheenlac
The company should concentrate on increasing the sales of paints through Pull
Strategy rather than Push Strategy of Marketing. It has to invest on bringing brand
awareness.
The company has to practice more transparency in its administration for example
through website.
Sheenlac Paints should take measures to decrease the price with same
quality.
Sheenlac paints should take steps to increase the quality of the product with out
increasing the price. Attracting a customer is more expensive than retaining the
57
customer. So it would be advisable for the company to create an effective
customer relationship management through which it can grow to greater extent.
Reengineering must be done to improve the standards of the product.
The company should make tie up with some organization to see that Sheenlac is
used in Painting their advertisements like billboards.
5.3 CONCLUSION
Paint industry is getting its own importance because construction industry determines
the economy of the country to a major extend also, only if the construction industry
flourishes, other industries flourish and it improves the buying power of the common
class. There are number of operators in the industry, and this study helps to know more
about dealer satisfaction for Sheenlac panits
From the study it can be concluded that the overall satisfaction for Sheenlac paints stands
best a quality also. Dealers are satisfied about the price, quality,
channel of distribution, dealer sales support etc.,
But focus needs to the placed on credit period, advertising and promotional activities and
to some extent on brand availability. This is sure to improve the success of Sheenlac
paints.
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CHAPTER 6
6.1 Bibliography
Books referred:
Principles of marketing, Philip Kotler & Gary Armstrong
Marketing research - Principles applications & Cases, D.D.
Sharama & G.C.Beri Statistical tools, S.P. Gupta
Research methodology, C.R. Kothari
Basic marketing, William G.Zikmund, Michaell d. Amico.
Websites:
Scribd.com
Wikipedia.org
Sheenlac paints official website
59
6.2 QUESTIONNAIRE
A Study on Dealers Satisfaction with Sheenlac products
QUESTIONNAIRE
Name:
Address:
1. Experience in Dealership & dealing with sheenlac products? a) 1-3 years b) 4-7 years
c) 8-10 years d) above 10 years
2. Which factor enable you to be the dealer of sheenlac products ?
a) promotional b) quality scheme
c) company policy d) margin
3. What do you feel about credit period given by sheenlac company ?
a) very good b) good
c) satisfactory d) poor
4. What do you think about promotional activities give by sheenalc ?
a) very good b) good
c) satisfactory d) poor
5. What type of promotional activity do you prefer with sheenlac products.? a) discount b) gift
c) price d) offers
60
6. Whether the expected quantity of sheenlac products is supplied to you in time ?
a) yes b) no
If no, specify___________________________________
7. Are you dealing with other companies ?
a) yes b) no
If yes, specify____________________________________
8. Do you have proper accessibility of sheenalc products ?
a) yes b) no If no, specify_____________________________________
9. What do you feel about the employers dealing with you in sheenlac ?
a) highly satisfied b) satisfied
c) average d) dissatisfied
10. What are the factors that you expect from sheenlac compared to the competitors?
a. Promotional b) sales follow up Scheme
c) service d) credit facility
11. Do you recommend your customers about sheenlac products ?
a) yes b) no If no, specify the reason________________________________
12. In which season the selling of product is more?
a) Jan-march b) April-June
c) july-sept d) oct-dec
13. What is the awareness on sheenlac primer products ?
a) highly expected b) expected
61
c) moderately expected d) not expected
14. Whether the pricing for the primer products of sheenlac was met for the buyer ?
a) highly satisfied b) satisfied
c) moderately satisfied d) dissatisfied
15. Whether the dealers expecting quality & price at same level ?
a) yes b) no If no, specify___________________________________
16. What kind of quality & price need for dealers ?
a. increase in quality b) decrease in qualitydecrease in price increase in price
b. decrease in quality d) increase in quality decrease in price increase in price
17. What are the other factors does sheenlac have compared to the competitiors ?
a) price b) quality
c) offers d) service
18. Whether the launch of emulsion & distemper products will survive and retain itsposition in competitors arena ?
a) yes b) no
If yes, specify _________________________________________
19. Before the launch of any new product, sampling of that particular productis necessary or not ?
a) yes b) no
If yes , specify_______________________________________
If no, specify _______________________________________
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20. What do you feel about after sales service given by sheenlac ? a) highly satisfied b) satisfied
c) moderate d) dissatisfied
21. How many products of sheenlac you sale ? please mention their name also.
a)______________ b)________________ c)___________________
d)______________ e) ________________ f)___________________
22. How do you rate the price of sheenlac products compared with the following competitiors?
Brands Very high High Average Low
SheenlacAsianAgscarNerolacBergerDulux
23. Rate the product
a. Sheenlac – Asian – Agscar- Nerolac
b. Asian- Sheenlac – Agscar- Nerolac
c. Asian – Agscar – Sheenlac – Nerolac
d. Asian – Agscar – Nerolac – Sheenlac
Tick the appropriate box:
24. Do you have any complaints (or) suggestions about sheenlac products ?
a) yes b) no
If yes, specify _______________________________________
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a b c d
